Difference Between Blockchain And Cryptocurrency

Whenever a new technology is discovered or developed then people need to know and understand it before they can use it comfortably. Today’s world is using cutting edge technology and many people do not understand the mechanism of many tools and equipment. We use jargons like digital currency and blockchains interchangeably without even understanding that these two are actually two different things.

Blockchain

Let us understand these two terms so that you will be able to use them appropriately when the time comes. First the names of the concepts. As the name suggests, ‘block-chain’ is the chain of blocks; the blocks here mean the pieces of information. Initially, there was only one currently being used online and people used the two terms without making any distinction. But slowly the term blockchain started to be used without any monetary value or token attached to it. It is essentially a block of information and is connected to more blocks of data. It is the ledger that keeps every transaction recorded, and is open to everybody in the network and kept secure with encryption protocols in place. Many big companies are trying to use this technology for various administrative purposes.

Crypto-currency

This is another name of the digital currency or virtual currency that is connected to block chains. In the beginning, there was only one currency and it was called Bitcoin, which was the token given in lieu of each block of information.With new currencies, it is actually a little different and the tokens and currency may have different names. For example, in the technology Ethereum, the token is called Ether. If you are familiar with portmanteau or hybrid names then cryptocurrency is the amalgamation of two words, cryptogenic and currency.

Why are these becoming popular

Blockchains and digital currencies are generating widespread curiosity and many large corporations are trying to incorporate the two aspects of their companies. The important aspect here is the control and security of both these intangible aspects. Cryptocurrency is basically the value attached to a piece of information and the information is the building blocks or the blockchain. Some studies have shown that it is possible to use the block chains in other aspects of work, and the data can be secured with encryption. But as the governments and people alike are scared of data breach and the value attached to the leaks in terms of monetary value, there are still many apprehensions about the actual implementation.

Some huge countries like China and India keep cautioning people to be careful while venturing into digital currency. They do not comprehend the full extent of its reach and how it is taking over the internet financial circuit. People will also appreciate the significance and then slowly start accepting these currencies.

CSR In SME`S

As known to all of us, CSR is something important for all types of businesses, be it small or big. So when it is viewed from this point of view, it is very clear that even the smallest sized business is required to implement this concept of CSR in its business operations. Now they have a difficulty doing this. Generally, every company is required to or is expected to make some amount of contribution towards following this CSR and when comes to the small and medium enterprises, they find it a little challenging to allocate or apportion funds for this. But even with this constraint, many of the SME`s strive to follow this core concept at levels possible and affordable for them and this way they try to add value to their services for the society. So these companies try to use strategies that would support CSR at levels they could afford to follow them.

Importance

Though we say and emphasize on following CSR, not all of the companies do this. Again it is not that they do not gain any benefits because they are not under the spell of CSR. They do make profits, they do make a progress but there would definitely be a point where they would realize how the implementation of CSR would add up to their performance and growth. As said above, this is not something followed by all but very soon there would be a situation when people would realize and understand the importance of being socially aware, socially conscious and quality conscious and it is probably the time when they would start implementing and following the ideas and ideals of CSR.

It is in fact believed that the smaller ones benefit more than the bigger firms.

  • This is mainly because they are smaller in size and hence it becomes simple and easy for them to get adapted to the changes easily.
  • They easily get to identify their stakeholders because since they are small they generally do not hold too many of them and hence it becomes easy for them to zero down on the numbers. This way they will also get to make some really productive and meaningful expenditure towards the CSR initiatives which would, in turn, help them in their profits, growth, and development.
  • When CSR initiatives are for customers of a smaller group, it becomes easy for implementing them and also to collect and research on the outcomes